Lara Signs Option To Acquire The Azul Tin Project In Brazil
VANCOUVER, BRITISH COLUMBIA–(Marketwired - Oct. 26, 2015) - Lara Exploration Ltd., (TSX VENTURE:LRA) (“Lara” or the “Company”) is pleased to announce that it has signed a Purchase Option Agreement (the “Agreement”) with Best Metais e Soldas S.A. (“Best”), to acquire the Azul Tin Project, located in Tocantins State, central Brazil. Under the terms of the Agreement, Lara must make the following cash payments to keep the Agreement in good standing:
|By December 31, 2015||7,500|
|By December 31, 2016||40,000|
|By December 31, 2017||200,000|
|By December 31, 2018||500,000|
Lara will pay a 2% net smelter return royalty to Best on any production derived from the property, but has the right to acquire this royalty at any time for a one-time cash payment of US$3 million.
The Azul Tin Project comprises a 671-hectare Mining License that has been the subject of small-scale mining in the past from two open pits located approximately 200 metres apart. To date 51 diamond drill holes have been completed (for a total of approximately 3,700 metres) to test extensions of the tin mineralization exposed in the pits. The drilling has resulted in the definition of a tin resource not compliant with National Instrument 43-101 reporting standards; the Company plans to review the project data and drill core in the coming months, with a view to preparing a compliant resource statement.
Lara is an exploration company following the Prospect Generator business model, which aims to minimize shareholder dilution and financial risk by generating prospects and then exploring them in joint ventures funded by partners. The Company currently holds a diverse portfolio of prospects and deposits in Brazil, Peru, Colombia and Chile. Lara’s common shares trade on the TSX Venture Exchange under the symbol “LRA”.
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.
Lara Exploration Ltd.
VP Corporate Development
+1 416 703 0010